Vermilion Energy Inc. (TSX:VET) entered into an arrangement agreement to acquire Red River Oil Inc. for CAD 90.8 million on January 15, 2018. Under the terms of the arrangement, Vermilion has agreed to acquire all of the issued and outstanding common shares of Red River, including all shares issuable, in accordance with the terms of existing grants of options or warrants, prior to the effective time of the arrangement, and assume all outstanding debt of Red River. The purchase price is in cash and will be funded from Vermilion's existing credit facilities. The arrangement remains subject to customary closing conditions, including receipt of applicable court, Red River's shareholder and regulatory approvals. The Board of Directors of Red River has unanimously approved the arrangement and recommended that Red River's shareholders vote in favour of the arrangement. The transaction is expected to close on or about February 15, 2018. The acquisition is accretive on a fully-diluted per share basis for Vermilion Energy for all pertinent metrics including production, fund flows from operations, reserves and net asset value. Derek Wheatley, Peter Lundberg, Justin Yee and Brendan Lines of Tudor, Pickering, Holt & Co. Securities – Canada, ULC and Arun Chandrasekaran, Rahim Daredia, Ian Berman and Travis Inlow of National Bank Financial, Inc. acted as financial advisors and Nathan Robb and Gordon Cameron of McCarthy Tétrault LLP acted as legal advisors for Red River.